101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
SB3874
 
Introduced 2/14/2020, by Sen. Ram Villivalam
 
SYNOPSIS AS INTRODUCED:
 

 
35 ILCS 5/232 new

     Amends the Illinois Income Tax Act. Creates an income tax credit for taxpayers who employ individuals working within the engineering sector who graduated from an accredited institution of higher learning with a Bachelor's degree or higher. Provides that the credit shall be equal to 10% of the compensation paid for the first through fifth years of employment in the engineering sector if the qualified employee graduated from an institution located in Illinois or 5% of the compensation paid for the first through fifth years of employment in the engineering sector if the qualified employee graduated from an institution not located in Illinois. Effective immediately.
  


LRB101 18626 HLH 68081 b

FISCAL NOTE ACT MAY APPLY
 
 
A BILL FOR
 

  
SB3874LRB101 18626 HLH 68081 b


  
1    AN ACT concerning revenue.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Illinois Income Tax Act is amended  by adding 
5Section 232 as follows:
 
6    (35 ILCS 5/232 new)
7    Sec. 232. Retaining Illinois Students of Engineering 
8(RISE) credit.
9    (a) For tax years ending on or after December 31, 2020, a 
10taxpayer shall be allowed a credit against the tax imposed by 
11subsections (a) and (b) of Section 201 for compensation paid to 
12a qualified employee. The credit shall be equal to 10% of the 
13compensation paid for the first through fifth years of 
14employment in the engineering sector if the qualified employee 
15graduated from an institution located in Illinois or 5% of the 
16compensation paid for the first through fifth years of 
17employment in the engineering sector if the qualified employee 
18graduated from an institution not located in Illinois. 
19    (b) The credit or credits may not reduce the taxpayer's


20liability to less than zero. If the amount of the credit or 
21credits exceeds the taxpayer's liability, the excess may be 
22carried forward and applied against the taxpayer's liability in 
23the following 5 taxable years or until the credit has been 
 
 
SB3874- 2 -LRB101 18626 HLH 68081 b

1fully used, whichever occurs first. 
2    (c) As used in this Section, "qualified employee" means an 
3employee working within the engineering sector who graduated 
4from an accredited institution of higher learning with a 
5Bachelor's degree or higher. 
  
 
6    Section 99. Effective date. This Act takes effect upon 
7becoming law.